Document Content

DECREE

DECREE

Governing individuals who are engaged in independent and regular commercial activities not subject to business registration

THE GOVERNMENT

Pursuant to the December 25, 2001 Law on Organization of the Government;

Pursuant to the June 14, 2005 Commercial Law;

At the proposal of the Trade Minister,

DECREES:

Chapter I

GENERAL PROVISIONS

Article 1.- Governing scope

This Decree provides for the scope of business of individuals who are engaged in independent and regular commercial activities not subject to business registration, and responsibilities of state management agencies for activities of those individuals.

Article 2.- Subjects of application

This Decree applies to the following subjects:

1. Individuals who are engaged in independent and regular commercial activities not subject to business registration according to legal provisions on business registration (hereinafter referred to individuals engaged in commercial activities for short).

2. Other organizations and individuals involved in commercial activities of individuals engaged in commercial activities.

Article 3.- Interpretation of terms

In this Decree, the terms below and expressions are construed as follows:

1. Individuals engaged in commercial activities means those who personally conduct on a daily basis one, several or all activities of lawful goods purchase and sale, service provision and other activities for profit-making purpose, but are not required to make business registration according to legal provisions on business registration and are not "traders" as defined by the Commercial Law. Specifically, they are individuals engaged in the following commercial activities:

a/ Hawking (peddling), which means purchase and sale activities conducted at unfixed places (itinerant purchase, itinerant sale or itinerant purchase and sale), including itinerant sale of books, newspapers, magazines and cultural products for traders licensed to deal in these products in accordance with law;

b/ Huckstering, which means the purchase and sale of sundries at fixed or unfixed places;

c/ Petty food sale, which means the sale of assorted foods, snacks and beverages (street tea shops) at fixed or unfixed places;

d/ Shipment trading, which means the purchase of goods in shipments from other localities for sale to wholesalers or retailers;

e/ Provision of such services as shoe polishing; sale of lottery tickets; repair of locks; repair, safekeeping or washing of cars and motorbikes; haircut; painting; photography and other services at fixed or unfixed places;

f/ Other independent and regular commercial activities not subject to business registration.

2. Itinerant business means commercial activities carried out from place to place.

Article 4.- Application of relevant laws

Individuals engaged in commercial activities shall conduct their commercial activities in accordance with this Decree and commercial law applicable to traders, and relevant laws.

Chapter II

SCOPE OF ACTIVITIES OF INDIVIDUALS ENGAGED IN COMMERCIAL ACTIVITIES

Article 5.- Kinds of goods and services to be provided by individuals engaged in commercial activities

1. Individuals engaged in commercial activities may deal in various kinds of goods and services in accordance with law, except for the following kinds of goods and services:

a/ Goods and services banned by law from business;

b/ Contraband goods, counterfeit goods, goods of unidentified origin, goods with expired use duration, goods not up to food hygiene and safety standards prescribed by law; goods of poor quality, including deteriorated goods, goods of inferior quality, goods contaminated with toxic substances and diseased animals and plants;

c/ Goods and services subject to restricted business according to legal provisions.

2. When dealing in goods or services subject to conditional business, individuals engaged in commercial activities shall comply with legal provisions concerning the trading of such goods or services.

3. Individuals engaged in commercial activities shall comply with laws on taxes, prices, fees and charges related to goods or services they deal in. When dealing in foodstuffs and food catering services, individuals engaged in commercial activities shall satisfy all food hygiene and safety conditions specified by law for the trading of such goods or services.

4. Individuals engaged in commercial activities are strictly prohibited from committing frauds in weighing, measuring and counting, and from supplying untruthful, deceitful or misleading information on the quality of goods or services or the nature of their commercial activities.

Article 6.- Places of business of individuals engaged in commercial activities

1. Unless otherwise provided for by law, individuals are strictly prohibited from conducting commercial activities in the following areas, roads and places:

a/ Classified historical and cultural relics and other scenic places;

b/ Premises of state agencies, diplomatic missions and international organizations;

c/ Safety belts of arsenals, explosive material stores, munition and explosive material factories, barracks of Vietnam People’s Army units;

d/ Airports, seaports, international border-gates, stations, ship landings, car terminals, river-crossing ferry or boat landings, and means of transport;

e/ Schools, hospitals, religious and belief establishments;

f/ Temporary stoppage, parking or landing areas for means of transport, including roads and waterways;

g/ Roads including also entrances to condominiums and apartment buildings; alleys; pavements, road beds, roadsides of urban roads, district roads, provincial roads and national highways which are reserved for people and moving vehicles, except for areas, road sections or pavements which are planned or permitted by competent authorities for temporary use for commercial activities;

h/ Roads and areas (including tourist sites) specified by People’s Committees of provinces or centrally run cities (referred to as provincial-level People’s Committees for short) or bodies authorized by provincial-level People’s Committees, where signs of ban on commercial activities of individuals are put up;

i/ Areas, though being not areas, roads or places where commercial activities are banned as specified at Points a thru h, Clause 1 of this Article, where commercial activities are disallowed by organizations or individuals that have the right to use these areas, or where signs of ban on commercial activities of individuals are put up.

2. Individuals engaged in commercial activities are strictly prohibited from illegally occupying, building or installing without permission constructions, equipment and tools for conducting commercial activities and displaying goods in any areas on roads and at public places; entrances, emergency exits or any areas, thus obstructing traffic, causing inconvenience to the community and affecting public beauty.

3. When conducting commercial activities in areas, roads or road pavements planned or permitted by competent state agencies for temporary use, individuals engaged in commercial activities shall, apart from abiding by the provisions of this Decree, also comply with the planning or permission.

4. Individuals engaged in commercial activities shall abide by lawful orders of persons on public duty to remove their goods, means, equipment and tools for conducting commercial activities so as to prevent traffic congestion in case of emergency or for security reasons and for other social activities specified by law.

Article 7.- Assurance of security, order, hygiene and safety in activities of individuals engaged in commercial activities

1. In their commercial activities, individuals engaged in commercial activities shall comply with legal provisions on maintenance of social security, order and safety (including also provisions on practicing a civilized lifestyle), hygiene and disease prevention, environmental protection, fire prevention and fighting, natural calamity prevention and combat, communication and transport. Individuals engaged in commercial activities are strictly prohibited from:

a/ Conducting commercial activities illegally or in such a way that causes public disturbance or adverse impacts on the environment, health, safety and common benefits of the community;

b/ Using electronic devices in their commercial activities and related activities that infringe upon benefits of consumers, intellectual property rights, the right to privacy of individuals.

2. When conducting itinerant business, individuals engaged in commercial activities shall place or arrange traveling vehicles, sale equipment and tools and goods in an orderly and tidy manner, and have appropriate garbage and waste bins. They are strictly prohibited from committing the following acts in their itinerant business:

a/ Tagging along, entreating, soliciting, fighting for or causing inconveniences to customers and uttering vulgar or impolite words or making rude gestures towards customers;

b/ Gathering crowds or using loudspeakers, gongs, drums, whistles, bugles and other sound-amplifying devices to promote or advertise their itinerant business activities without having made commitments to use these devices for proper purposes and maintain social order and security with administrations of localities where such activities are to be conducted;

c/ Advertising their goods or services by crying out, causing big noises at public places and disturbing public quietness from 22:00 hrs to 5:00 hrs;

d/ Printing, drawing, writing on walls; hanging (putting up) banners, placards, panels, posters, signboards or advertisement signs in contravention of law, which run counter to fine customs and traditions and adversely affect the public beauty;

e/ Using in their commercial activities traveling means, other equipment and tools not up to technical, safety and hygiene standards, thus adversely affecting the public beauty;

f/ Dumping garbage or defecating at any place; placing traveling means, equipment or tools for conducting commercial activities, throwing away wrapping and other packing and wrapping materials, waste paper, garbage, goods, animal fats and other objects on roads, into rivers, sewers or any places, thus causing environmental pollution, obstructing traffic or causing inconveniences to the community;

g/ Cooking, sleeping or taking rest on road sections for people and moving vehicles; passages and staircases in condominiums; at bus stops; or in places of cultural, public entertainment or recreation activities, thus adversely affecting the public beauty and social order and safety;

h/ Abusing children and disabled people in conducting commercial activities.

Chapter III

RESPONSIBILITIES OF STATE MANAGEMENT AGENCIES FOR ACTIVITIES OF INDIVIDUALS ENGAGED IN COMMERCIAL ACTIVITIES

Article 8.- Responsibilities of commune-level People’s Committees in state management of individuals engaged in commercial activities

People’s Committees of communes, wards or townships (hereinafter referred to as commune-level People’s Committees) are assigned to directly manage commercial activities of individuals in their respective localities under this Decree and relevant laws, with the following tasks:

1. Keeping records to monitor individuals engaged in commercial activities in locality under their management (including individuals engaged in commercial activities and residing in their localities and individuals coming from elsewhere to conduct commercial activities in localities under their management) and activities and law observance of those individuals.

2. Disseminating and popularizing guidelines, policies and relevant legal provisions on management of individuals engaged in commercial activities to target individuals, management officials and all people in their localities.

3. Closely coordinating with management agencies, organizations and individuals competent and responsible for managing individuals engaged in commercial activities in their localities.

4. Organizing the implementation of planning and plans, and assigning responsibilities for managing specific commercial activities of individuals engaged in commercial activities in their localities under the guidance and responsibility decentralization by superior state management agencies.

5. Publicly and widely announcing areas, roads and places where individuals are disallowed or allowed to conduct commercial activities.

6. Applying appropriate solutions to organizing commercial activities and appropriate management modes, thereby ensuring normal activities in areas, roads or places where individuals are disallowed or allowed to conduct commercial activities; ensuring security and safety for lawful activities of individuals engaged in commercial activities in localities under their management.

7. Applying organization and management solutions to ensure that individuals engaged in commercial activities strictly comply with this Decree’s provisions on the scope of their activities; refraining from arranging at their own will or letting individuals conduct commercial activities in areas, roads or places where such activities are banned under this Decree.

8. Applying legal provisions on taxes, fees and charges to individuals engaged in commercial activities in localities under their management.

9. Inspecting and handling according to their competence acts of law violation committed by individuals engaged in commercial activities.

10. Periodically or extraordinarily summing up and reporting the development, organization, management and activities of individuals engaged in commercial activities in their localities to superior state management agencies upon the latter’s request, and proposing matters related to the management of activities of these individuals.

Article 9.- Responsibilities of ministries, branches and provincial-level and district-level People’s Committees in state management of individuals engaged in commercial activities

1. Ministries and branches shall, within the ambit of their duties and powers, guide in detail the state management of commercial activities of individuals engaged in commercial activities according to this Decree.

2. The Trade Ministry shall monitor and supervise the implementation of this Decree.

3. Provincial-level People’s Committees; People’s Committees of districts, provincial towns and provincially run cities (collectively referred to as district-level People’s Committees) shall perform the state management of commercial activities of individuals in their localities under the guidance and responsibility decentralization by superior state management agencies. Their specific tasks include:

a/ Directing, guiding, urging and inspecting subordinate People’s Committees in observing regulations on management of commercial activities of individuals in their localities;

b/ Elaborating planning and plans, assigning responsibilities and decentralizing management of commercial activities of individuals in their localities;

c/ Promptly putting forward appropriate solutions to organizing commercial activities and appropriate management modes, thereby ensuring normal activities of areas, roads and places where individuals are disallowed or allowed to conduct commercial activities;

d/ Handling law-breaking acts of individuals engaged in commercial activities which are beyond the competence of subordinate People’s Committees;

e/ Periodically or extraordinarily summing up and reporting the development, organization, management and activities of individuals engaged in commercial activities in their localities to superior state management agencies upon the latter’s request; and proposing matters related to the management of activities of these individuals.

4. Provincial-level People’s Committees or agencies authorized by provincial-level People’s Committees shall prescribe the time for commercial activities and direct the installation of signs of ban on individuals from conducting commercial activities in areas and roads according to Point h, Clause 1, Article 6 of this Article.

5. Provincial-level People’s Committees shall specify the planning on and allow individuals to temporarily use areas, roads and road pavements in their localities to conduct commercial activities in accordance with the actual conditions of their localities without adversely affecting traffic order and safety.

Chapter IV

HANDLING OF VIOLATIONS AND IMPLEMENTATION PROVISIONS

Article 10.- Handling of violations

1. Individuals engaged in commercial activities that commit acts of violation of the provisions of this Decree shall, depending on the nature and severity of their violations, be administratively handled or examined for penal liability. If causing damage, they shall pay compensations therefor according to law.

2. Officials and public employees that abuse their positions and powers to act in contravention of this Decree and relevant provisions of law shall, depending on the nature and severity of their violations, be disciplined, administratively sanctioned or examined for penal liability. If causing damage, they shall pay compensations therefor according to law.

Article 11.- Implementation effect

This Decree takes effect 15 days after its publication in "CONG BAO."

Article 12.- Implementation responsibility

Ministers, heads of ministerial-level agencies, heads of government-attached agencies and presidents of provincial/municipal People’s Committees shall implement this Decree.